US futures advanced on Wednesday, as the street awaited views on economic growth and inflation by the Federal Reserve at 2:00pm EST.
While the Fed isn’t expected to change interest rates today, the central bank may revise its closely watched economic and inflation projections.
Investors are looking for reasons to buy stocks after a V-shaped global recovery had corrected during a sell-off in the first half of September.
Separately, trade issues continue, after the World Trade Organization ruled that the US violated international regulations by imposing tariffs of $234 billion on China in 2018, during early stages of the trade war.
Ahead, today's economic calendar also includes; Retail Sales for August at 8:30am and Oil Inventories for the week Sept. 11 at 10:30am EST.
TODAY'S TOP HEADLINES
US: Hurricane Sally Barrels Into the Gulf Coast. (The WSJ)
Hurricane Sally slammed into the Alabama coast as a Cat 2 hurricane early Wednesday, with forecasters expecting life-threatening flooding.
Today's Economical Announcements.
08:30AM - ★★★ - C. Retail Sales (Aug) (Previous: 1.9%)
08:30AM - ★★★ - Retail Sales (Aug) (Previous: 1.2%)
10:30AM - ★★★ - Crude Oil Inventories (Previous: 2.032M)
02:00PM - ★★★ - Fed Interest Rate Decision (Previous: 0.25%)
02:30PM - ★★★ - FOMC Press Conference
STOCKS IN THE SPOTLIGHT
Pre-Market Movers & News Related Stocks.
FedEx (FDX): [EARNINGS] Reported earnings per share of $4.87 on revenue of $19.32 billion. Analysts expected a profit of $2.69 per share on revenue of $17.55 billion. The company said its average daily package volume jumped 31% to 11.6 million in its fiscal first quarter.
Eastman Kodak (KODK): [NEWS] A law firm hired by the one-time photography giant said transactions made by CEO Jim Continenza around the time the company learned about a $765 million government loan did not go against internal policies.
Tapestry (TPR): [UPGRADE] Deutsche Bank upgraded the stock to “buy” from “hold.” The analyst also hiked his price target on the stock to $21 per share from $18 per share. The new price target implies a 24.7% upside from Tuesday’s close of $16.84. “We have seen strong digital trends across the retail landscape, and believe TPR will be a beneficiary of the current trend that appears to be accelerating the shift to digital”.
DraftKings (DKNG): [NEWS] The company announced a deal with the National Football League’s New York Giants. The deal makes DraftKings the team’s exclusive operator of sports betting, iGaming and daily fantasy sports.
Overstock.com (OSTK): [RATING] Wedbush initiated Overstock with an “outperform” rating and a price target of $92 per share. That price target implies an upside of 25.4% over the next 12 months. “We see multiple catalysts, both on the macro and micro level that we believe can drive continued upside to revenue and EBITDA estimates”, Wedbush said.
Adobe (ADBE): [EARNINGS] Reported earnings per share of $2.57 on revenue of $3.23 billion. Analysts polled by Refinitiv expected a profit of $2.41 per share on sales of $3.16 billion. The company said its Digital Media business saw 19% year-over-year growth for the fiscal third quarter while its Digital Experience segment grew by 7% year-over-year.
Zillow (ZG): [REVIEW] Deutsche Bank named Zillow a “catalyst call buy,” noting the $4.8 billion SPAC deal for real estate start-up Opendoor “sets the stage for Zillow to get more value attribution for the Homes segment of its business.”
KB Home (KBH): [UPGRADE] Evercore upgraded to the homebuilder to “outperform,” noting that “amidst rising fear and insecurity, the instinct to retreat to the sanctuary of one’s home is implacable.”
GAINERS: INO, RVNC, APPS, NVTA, SGEN, DNLI, TSLA
DECLINERS: CCL, CYRX
Executive Network (ENPC.U) (Price: 25) (Est. Vol: $300.0M)
JFrog (FROG) (Price: 44) (Est. Vol: $510.4M)
Metacrine (MTCR) (Price: 13) (Est. Vol: $85.0M)
Snowflake (SNOW) (Price: 120) (Est. Vol: $3.360B)
StepStone Group (STEP) (Price: 18) (Est. Vol: $315.0M)
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